As per the terms of the agreement, Protox is expected to receive an upfront payment of $3m and is eligible to receive a near term milestone payment of $5m, as well as progressive payments of up to $67m upon achievement of specific development, regulatory and commercial milestones.
In addition, Protox will receive a double-digit royalty fee plus a drug supply fee based on product sales. Kissei Pharmaceutical will be responsible for all costs associated with further development, regulatory approvals, commercialization and marketing of PRX302 in Japan.
Fahar Merchant, president and CEO of Protox Therapeutics, said: “This transaction represents strong validation of PRX302 given Kissei Pharmaceutical’s established leadership in the Japanese urology market and proven track record in drug development.
“For Protox, this significant milestone provides a non-dilutive infusion of cash while preserving our flexibility for developing and marketing PRX302 in the rest of the world.”
Mutsuo Kanzawa, president and CEO of Kissei Pharmaceutical, said: “This agreement reinforces our product pipeline and enhances our presence in the urological field in Japan. We look forward to contributing to the well being of BPH patients by increasing their treatment choices and believe the in-licensing of PRX302 compliments the strong reputation of silodosin, our global strategic product in the BPH field.”